Galileo Fintech: the success story

What do you know about one of the most successful payment processors?

Galileo Fintech

Galileo Fintech: the success story. Source: galileo-ft.com

Today PaySpace Magazine would like to talk about one of the most successful and leading companies in the entire payments industry. It has taken some time for Galileo to get its feet on the ground since being founded far back in 2000, but today we can say confidently that this waiting process has already paid off, and it is totally worth it.

About Galileo

Galileo Financial Technologies is the company that powers numerous fintech companies, financial institutions, and investment firms in North America, Latin America, Canada, Asia, and Europe. This company delivers plenty of solutions when it comes to the payments industry and financial services. This flexible platform facilitates tons of financial transactions on a daily basis.

Galileo’s Fraud Protection features guarantee its clients security and transparency of any kind of transaction. As a result, the company has one of the best fraud protection systems worldwide. When using Galileo’s solutions, you can be sure that you work with one of the most secure systems (fraud losses rate is 80% lower than the industry average).

The Galileo Fraud Protection system is powered by AI and it combines the experience of professionals with the power of machine learning. The company processes huge amounts of information about transactions in order to detect even the smallest signs of fraud patterns. This is what helps the company to prevent fraud losses and minimize them significantly (if not to say mitigate them to nothing).

Galileo Fintech

This company delivers plenty of solutions when it comes to the payments industry and financial services. Source: shutterstock.com

Such fintech firms as Сhimе, RоbinНооd, Varo, and Trаnsfеrwisе work with Galileo and use the company’s solutions to power their payments, banking, money transfers, lending, and everything related to this type of business.

More about Galileo and funding

Galileo Financial Technologies was founded in 2000 by Clay Wilkes and Dave Wilkes in Salt Lake City, Utah, US. The company is an expert in empowering the backend for the world’s biggest fintесh companies.

Since the time of creation, Galileo has developed APIs for major financial firms (such as Chime, RоbinНооd, Моnzо, Rеvоlut, ТransfеrWisе, and Varo). It helps companies to streamline banking, money transfer services, and the process of servicing credit/debit cards. Compared to last year, Galileo has considerably succeeded in sales volume (up to 130%). The management of the company expects to start the new 2020 year with $100M net revenue. The company handles no less than $26B in payments volume, if we are talking about the abilities of Galileo.

With our APIs our clients can create and manage accounts, authorize payments, manage card balances and get fraud protection. We manage the entire back end. The number one fintech out of the UK, Canada, and the US all use our platform. We’re powering the reimagination of banking and money
Clay Wilkes, founder and CEO of Galileo Financial Technologies

Furthermore, Galileo has recently risen $77M in venture funding. Accel (venture capital company) led the round. Accel has also enlisted the assistance of Ryan Smith (Co-Founder and CEO of Qualtrics).

Galileo Fintech

Galileo has recently risen $77M in venture funding. Source: shutterstock.com

We have really taken a different approach in our growth path. We’ve been bootstrapped and profitable. We haven’t thought to raise a lot of money
Clay Wilkes, founder and CEO of Galileo Financial Technologies

The Series A round of funding would considerably help the company to expand in Latin America, the UK, and Europe (in spite of the fact that they already have some influence in these regions). All these regions are fast-growing fintech marketplaces, and it is a really good opportunity for Galileo to grow the business. The company is also developing new products. The management has recently announced that they work on cash/wealth management accounts, which can be another highly profitable and demanded financial service. For now, around 250-300 people work in Galileo, but the company wants to hire some extra staff, (particularly sales and marketing experts).

Galileo managed to make effective and timely use of its potential. Thus the company is riding a fintech wave now. Moreover, the exponential growth of this industry makes it popular and in-demand both in the U.S. and overseas. Sometimes, Galileo is compared to Plaid, which is the company that produces solutions for connecting fintесhs with respective clients’ banking data. But Galileo offers these fintechs an ability to develop digital platforms to manage finances for the masses.

We’re in a golden era of fintech innovation and Galileo has quietly built the API infrastructure layer powering the industry’s most innovative products. Clay and his team have built a very impressive business with many parallels to companies like Qualtrics and Atlassian: bootstrapping first to build a quiet, profitable powerhouse and now, ready to go big globally
John Locke, a partner at Accel

However, as we all know, nothing’s perfect. 2019 is an auspicious year, if we are talking about fintech, but it has also brought some issues for fintech companies.  The fintech market is growing, it’s true, but the fact of the matter is that it is also getting crowded, and it is an integral part of any growth process of this kind. Today, there are a lot of players, and the worst thing about it, they often have the same target audience. For example, just consider how many challenger banks appeared in the UK or U.S. It leads to the situation when many competing companies fight for the same clients. And this, in its turn, could toughen the playing field, which would mean a reduced number of fintechs to serve (the ones that could be driven out by competition).

This leads to another conclusion. Today, VCs (venture capitalists) are more interested in the established/experienced players who are profitable. On the other hand, plenty of challenger banks garnered a lot of VC attention recently. Thus, a lot of companies face a mixed picture, but it could be good news for Galileo.

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